Capital gains account

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This query is : Resolved

sudhakar (Querist)

26 July 2014 I have invested around 14,00,000 in my capital gains account.

Recently i have purchased land for house construction for five lakhs. Due to urgency i have paid the money in cash.

I would like to have expert advise on the following queries
1)Can i show the purchase of land and withdraw the amount incurred for purchase from my capital gains account.

2)The bank maintains that any amount greater than 25,000 can be withdrawn from CGA thru DD only. Can I take DD for that amount in my name from CGA and transfer to my savings account.

3) I have incurred additional expense as documentation charges, brokerage, registration charges etc. how can i show these expenses from CGA.

4) I am planning to construct a house, the construction which my father is panning to supervise by employing labor and material supply . I have applied for plan approval. how can i withdraw money in such cases. what are the documents to be given to bank for settling such amount. can i withdraw money as DD in my name or in my fathers name for such purposes.

Expert advise is requested as I am confused and finding it difficult to utilise money from my CGA.

Regards

Sudhakar

Nikhil Kaushik

Nikhil Kaushik (Expert)

26 July 2014 1. if you have paid in cash, you wont be able to set off unless the payment is cash has been covered by the purchase deed.

2. the bank will issue DD in the name of the contractor.

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Nikhil Kaushik

Nikhil Kaushik (Expert)

26 July 2014 1. if you have paid in cash, you wont be able to set off unless the payment is cash has been covered by the purchase deed.

2. the bank will issue DD in the name of the contractor.

sudhakar

sudhakar (Querist)

27 July 2014 Sir,
Thanks for Quick reply.
with regard to my above query I have paid the amount of Rs 5,00,000 is covered in the purchase deed .

How can I withdraw money to that effect from CGA. It will be extremly helpful if you could reply to the Points 1 to 4 in the last query in a more descriptive manner.

regards,

Sudhakar

Nikhil Kaushik

Nikhil Kaushik (Expert)

27 July 2014 for the amounts covered in sales deed, you can provide copy of the same to bank for release of funds. So get the DD in your name for this. This covers point 1 and 2

For Question 3, all the expenses incurred can be evidenced by invoices. So request for release of funds for the same in your name.

Question 4. Ask your father to give you an indicative memorandum invoice for the expenses and ask money to be released in your father's name.

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